The well, which reached a total depth of 2360ft in five days, is now being suspended as a future production well.

Lombardi 1-27 was the first well to be drilled by Salinas in a two-phase appraisal and development drilling program at its 100%-owned North San Ardo oil project, which is targeting 10 million barrels of heavy oil.

If the successful, Salinas managing director John Begg said the company plans to put the field in production by the first quarter of next year.

“We are pleased to have drilled our first operated well trouble-free and meeting all objectives so far, including those relating to health and safety,” Begg said.

“The results of this well increase our confidence in the North San Ardo oil project and we are excited about the potential for early oil production.”

Using a contracted rig, the second drilling phase, to comprise up to four wells, is expected to start in about eight weeks.

Data acquired from the Lombardi 1-27 well will be used to refine the design of the second phase of drilling, which is expected to include horizontal production wells, according to Salinas.

Production at the field would be stimulated by steam injection, a technique widely applied in California, Salinas said.